Importance Of Entrepreneurship

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The word entrepreneur is originated from the French word “entrepredre” which means, “to undertake”.The Frenchmen who organized and led military expeditions in the early 16th century were called as “entrepreneur”. An entrepreneur is a person who is engaged in production activities and makes certain payments to owners of production in factories in expectation of uncertain receipts and is bearing non-insurable risks1. An entrepreneur is one who uses innovation to maximize his profits. He also uses Innovations for solving the problems, to grab the opportunities present in the market and to face the challenges in the market.2 The New Encyclopedia Britannica considers an entrepreneur as “an individual who bears the risk of operating a business in…show more content…
Therefore, the ‘dynamic equilibrium’ achieved by a constantly innovating entrepreneur could generate the conditions for: a. increasing opportunities for employment (comprising various competitive skill sets); b. additional wealth creation; c. introduction and sharing of new methods and technology; and d. overall economic growth. It is in the creation of more wealth, and in the constant innovation from prevailing to the next best practices, that the significance and importance of Entrepreneurship lies. The development of Entrepreneurship in a Nation depends not on a single important factor but rather on ‘a collection of important factors’ at the personal, societal and national levels7.Entrepreneurship largely depends upon the motivation factors of the individual individual,experiences of the individual,their socio-cultural (including family) traditions, educational opportunities, availability of relevant skills and attitudes, supporting financial institutions and access to credit, existence of commercial trading centres, infrastructure support including trade routes with efficient transport and communication facilities, macro-economic environment and overall political stability . It has also been believed that Innovation and Entrepreneurship can prosper best in decentralized systems by empowered people, who are willing to explore new
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